DEFINITION: Federal Government activities to protect the United States and its allies from foreign aggression, to maintain military capabilities for deterring war, to protect and advance its interests in international affairs, and to provide military, economic, and humanitarian aid to other nations.

EXAMPLES: Comprises primarily the Departments of Defense, Energy (part), and State as well as such agencies as U.S. Information Agency, Agency for International Development (AID), Peace Corps, Export-Import Bank, and
International Monetary Fund. Activities covered include the military services, National Guard and Reserves forces, intelligence agencies, military procurement, defense research and evaluation, military housing, and selective service system; outlays of the Military Retirement Fund; conduct of diplomatic and consular relations, payments to international organizations like the United Nations, and international communication, education, and cultural activities; military assistance; foreign aid for economic support, functional development, and humanitarian assistance; Food for Peace (PL 480 Food Aid) and Foreign Agriculture Service; atomic energy defense research, development, and production.

EXCLUSIONS: Military and economic loans to other countries (except "forgiven loans"); Soldiers' and Airmen's Home (report at Other Public Welfare, code 79); payments to states for defense activities (report at Other and Unallocable, code 89); tuition payments for training (report at Other Education, code 21); Army Corps of Engineers (allocate among codes 57, 87, and 89); Department of Energy other than atomic defense activities (report balance at Soil, Water, and Electric Energy Resources, code 57); state-local militia, civil air patrol, civil defense, and other defense-related activities (use code 89).

REFERENCES: - To be added later -

OTHER NOTES: (1) This function applies solely to the Federal Government; report any related state or local government activities at code 89. (2) Report military service academies, such as West Point, here rather than at Education.